Metro Denver Market Update: October 12th - 18th, 2022

Overall, the market continues to soften more than we have seen in the last two years, generally working in the favor of buyers. Since 2013, we have tended to see inventory tick upward into the end of the year, and this year is no different; however, we are closer to 2019 market numbers instead of the last two years.

Months supply of inventory [MSI] increased from 1.8 months to 2.0 months, meaning that if no new homes came on the market starting tomorrow, we would run out of homes to sell people in two months. This supply reflects a 11.4% increase week over week. The average daily active count of listings on the market is 7,084, while we had 1,000 new listings hit the market during this time period as 809 units went under contract. These pending transactions dipped by -9.6% week over week. Closed transactions were 755, up 5.3% week over week. Finally, odds of selling was 46.4%, drastically different from the height of our market earlier this year [upward of 85%].

During this time period [10/12/22-10/18/22], half of all homes went under contract within the first 22 days of being on the market. This is a stark contrast to the 4 median days on market earlier this year. Prices are reflecting the softening as well — 52.6% of homes that went under contract made a price reduction. And the average price reduction was 8% — $54,990 from original price. Typically this time of year, 32% of homes are making price reductions to get under contract.

In my professional opinion, it is a GREAT time for buyers to buy right now. Here’s why: buyers currently are not usually having to offer over list price [often getting under contract below list price right now]; buyers typically have full negotiating power — on inspection, appraisal, and purchase price. Plus, many buyers are getting sellers to buy down their interest rate with concessions at Closing.

For sellers: stylish staging, top-notch photography, and conservative pricing is working best to get under contract in the quickest amount of time and for the most money. It’s true: if you price a property right the first time, you will sell it faster AND for more money.

If you’re not sure how to navigate this market, either as a buyer or a seller — or both! — reach out. We are always here to be a resource to you.

*All data is from 7 Metro Denver Counties: Adams, Arapahoe, Broomfield, Denver, Douglas, Elbert and Jefferson. Data is deemed reliable but not guaranteed.

At The Aster Lane Group, we practice ethical real estate, meaning that our client’s best interests are our own. We love being here for you.